http://graduatedandclueless.com/2009/10/how-to-survive-on-a-low-budget/?utm_source=rss&utm_medium=rss&utm_campaign=how-to-survive-on-a-low-budget Time for Bold Action. Discover Your Own Profitable Passion! Thu, 23 Feb 2012 15:36:00 +0000 hourly 1 http://wordpress.org/?v=3.3.2 http://graduatedandclueless.com/2009/10/how-to-survive-on-a-low-budget/comment-page-1/#comment-432 CluelessGrad Mon, 14 Feb 2011 07:16:00 +0000 http://graduatedandclueless.com/?p=1597#comment-432 Great question James! Borrowing money is risky, regardless of its use. Borrowing on an investment property is like borrowing while investing in a 401(k), it's counterproductive. You'll end up paying interest while earning it. Also, property is a volatile investment, as seen by the recent housing market crash, which is why you should invest in cash for the long-term. Borrowing on a business is wildly risky and I never recommend it. Businesses should be built slowly over time. It's safe and it forces you to get creative to build real capital instead of banking on borrowed cash you will have to pay back later. Businesses are never a guarantee. If you build a great business, you will have all the money you need from your paying customers. If you have an unsuccessful business, you will only have lost the money you invested instead of the tens of thousands of dollars you borrowed. Great question James! Borrowing money is risky, regardless of its use. Borrowing on an investment property is like borrowing while investing in a 401(k), it’s counterproductive. You’ll end up paying interest while earning it. Also, property is a volatile investment, as seen by the recent housing market crash, which is why you should invest in cash for the long-term. Borrowing on a business is wildly risky and I never recommend it. Businesses should be built slowly over time. It’s safe and it forces you to get creative to build real capital instead of banking on borrowed cash you will have to pay back later. Businesses are never a guarantee. If you build a great business, you will have all the money you need from your paying customers. If you have an unsuccessful business, you will only have lost the money you invested instead of the tens of thousands of dollars you borrowed.

]]> http://graduatedandclueless.com/2009/10/how-to-survive-on-a-low-budget/comment-page-1/#comment-431 James Mon, 14 Feb 2011 07:03:00 +0000 http://graduatedandclueless.com/?p=1597#comment-431 what about borrowing money to buy an investment property or borrowing to buy a business? what about borrowing money to buy an investment property or borrowing to buy a business?

]]> http://graduatedandclueless.com/2009/10/how-to-survive-on-a-low-budget/comment-page-1/#comment-133 alie Mon, 07 Dec 2009 23:24:44 +0000 http://graduatedandclueless.com/?p=1597#comment-133 great blog on budgeting! I can't believe how many people in thier 20's (or latter) don't have a budget written down somewhere, and I think the websites you have here provide some wonderful tools for the first generation raised on the internet. I love the Rich Dad Poor Dad books, and would also like to recommend Suze Orman's 9 Steps to Financial Freedom; she covers budgets in depth. Keep up the good work! great blog on budgeting! I can't believe how many people in thier 20's (or latter) don't have a budget written down somewhere, and I think the websites you have here provide some wonderful tools for the first generation raised on the internet. I love the Rich Dad Poor Dad books, and would also like to recommend Suze Orman's 9 Steps to Financial Freedom; she covers budgets in depth. Keep up the good work!

]]> http://graduatedandclueless.com/2009/10/how-to-survive-on-a-low-budget/comment-page-1/#comment-122 Brian Sun, 08 Nov 2009 12:24:13 +0000 http://graduatedandclueless.com/?p=1597#comment-122 This article is a great starting point for anyone. Well done. However, the author warns readers to resist the temptation to purchase a complicated financial software package (e.g. Quicken) unless they have reached the age of 40. I don't believe the passage of time is the criteria to move to a complicated software package. I believe the author intended to write that until an individual has a good grasp on the basics of financial matters and reaches a stable point in their financial standing, that it is best to keep things simple. Some individuals may reach a point of financial awareness and independence in their late 20's, while others may never reach this point. This article is a great starting point for anyone. Well done. However, the author warns readers to resist the temptation to purchase a complicated financial software package (e.g. Quicken) unless they have reached the age of 40. I don’t believe the passage of time is the criteria to move to a complicated software package. I believe the author intended to write that until an individual has a good grasp on the basics of financial matters and reaches a stable point in their financial standing, that it is best to keep things simple. Some individuals may reach a point of financial awareness and independence in their late 20′s, while others may never reach this point.

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